BetaShares has launched a new ETF to take advantage of global companies that can offer Australian investors a diversified portfolio.
The fund, Global Income Leaders ETF (INCM) provides investors with exposure to 100 global companies that have been selected for their potential to generate attractive and persistent income.
BetaShares chief executive officer Alex Vynokur said the fund offers investors a cost-effective way to expand the world of income opportunities in their portfolios and benefit from diversification.
“Most Australian investors understand that investing in global markets is a great way to diversify portfolios, particularly with the high levels of exposure that most Australian share portfolios have to local companies like the big four banks and big miners,” he said.
Mr Vynokur said that investors accepted a lower level of income when investing in diverse global shares but INCM was built to challenge that.
“INCM provides Australian investors exposure to a carefully screened portfolio of global companies with attractive income potential,” he said.
The ETF will track the Nasdaq global income leaders index which employs a dividend yield-weighting methodology and screening criteria to select companies with persistent income potential.
Mr Vynokur said that INCM had an income focus, but investors could still benefit from the capital growth potential of the companies in the fund.
“We believe that income-oriented Australian investors, especially SMSF trustees, retirees, and people approaching retirement, will find that INCM is a compelling option for a core allocation to international shares,” he said.
Eliot Hastie is a journalist at Momentum Media, writing primarily for its wealth and financial services platforms.
Eliot joined the team in 2018 having previously written on Real Estate Business with Momentum Media as well.
Eliot graduated from the University of Westminster, UK with a Bachelor of Arts (Journalism).
You can email him on: [email protected]